Interest Rate Strategy

InterestRateStrategy

Given the current utilization rate of the lending pool, it calculates the borrow rate and liquidity rate.

Interest rate curve has the following parameters:

• Optimal utilization rate

• Base borrow rate

• Borrow rate slope 1

• Borrow rate slope 2

Parameter	Values	V1
OPTIMAL_UTILIZATION_RATE	80.00%	80.00%
BASE_BORROW_RATE	7.50%	7.50%
BORROW_RATE_SLOPE1	25.00%	25.00%
BORROW_RATE_SLOPE2	25.00%	25.00%

Utilization	Rate	Liquidity Rate
5%	7.50%	0.38%
10%	7.50%	0.75%
15%	7.50%	1.13%
20%	7.50%	1.50%
25%	7.50%	1.88%
30%	7.50%	2.25%
35%	8.75%	3.06%
40%	10.00%	4.00%
45%	11.25%	5.06%
50%	12.50%	6.25%
55%	13.75%	7.56%
60%	15.00%	9.00%
65%	16.25%	10.56%
70%	17.50%	12.25%
75%	18.75%	14.06%
80%	20.00%	16.00%
85%	22.50%	19.13%
90%	25.00%	22.50%
95%	27.50%	26.13%
100%	30.00%	30.00%